FINRA Seeks to Mitigate Broker Recruitment Conflicts

Under the new rule, firms onboarding clients of a recently recruited advisor must disclose to investors whether the recruitment bonus or other compensation received by the advisor creates a conflict of interest. Further, the information must also outline any costs associated with transferring client accounts to the new firm and the potential differences in products and services offered at the new b/d.

Source: FINRA Seeks to Mitigate Broker Recruitment Conflicts